Steve Ellis

AR professionals must use transparency as their weapon of choice

Jonny points me at a post on the IIAR blog on codes of ethics among analyst groups. In it is a link to this story from HP's AR team.

To paraphrase HP's post, they have issues with a product review from an analyst group that rates a competitor's product ahead of their own. As in most of these spats their product guys want to throw the small print at the analyst group, "Our engineers and marketing staff are still blue in the face showing the 7,328 reasons why the study is flawed". Unfortunately that particular rebuttal strategy never really works out that well.

Where they do have the analyst company on the hook though, is that HP claim the competitor paid for the report. A fact, apparently, that is not recognized anywhere on said report. This sparked a lively debate on codes of conduct on the IIAR's post.

However, the huge, gaping, unspoken question here is why HP didn't simply name names and use reputational damage as their weapon of choice?

Come to that all of the IIAR's other examples are anonymous too.

If HP doesn't feel confident enough to call analysts on this sort of behaviour, what chance has a small vendor?

Codes of conduct are nice for guidance but are seldom actively policed or consistently respected. Surely, this a great example of where a little public transparency by HP could have either snapped this analyst company back into line to protect their reputation, or to have earned them a new reputation as operating in the pay-to-play sector?

The irony here is that our own analyst relations team often need to evangelize on the independence of analyst groups inside our client organizations, where sceptics often assume its all down to pay-to-play (and I'm sure other AR professionals do this too). Being soft on these sorts of behaviours just perpetuates the problems for legitimate analysts and hard working AR professionals.

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Postscript: Dale adds a considered post on this theme too, I think we are in broad agreement, but read his post here

Update: 17.03.08 - the AR team at HP have added their explanation as to why they didn't name names and, somewhat optimistically, ask the errant analyst group to voluntarily out themselves and join the discussion.

Published 11 Mar 2008 by Steve
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Comments

 

David R said:

Steve

It's great to see you posting on the subject.

On the subject of anonymous examples, the examples cited in the IIAR blog are all personal to me (apart from HP).
 
I didn't name the firms because I don't believe that's the most productive way forward. I understand the temptation but it really wouldn't achieve that much. The firms will undoubtedly deny the allegations (they have to, don't they?) The resulting public row will just make more people doubt the independence and objectivity of the analysts.  

I believe the better way forward is for the AR community and the analyst community to work together and try and agree a code of conduct that everyone can sign up to. That way, we can be all be firm in our rebuttals when "pay for play" is brought up - and offenders know they risk being ”named and shamed" if they then breach an agreed code.
 
As an organisation, the IIAR is trying to take positive action in this area rather than just grabbing headlines. The feedback we've had from analysts is that they concur with our approach. Most analysts value their integrity and independence to the utmost. We shouldn't forget that.
March 12, 2008 11:18
 

Steve said:

David

I don't think you will change bad behavior unless you expose those who contravene good practice.

And if they deny it, and you cannot produce solid evidence, then you don't have a case anyway.

The HP example looked - unusually - to be clear cut, but even HP shied away, avoiding the issue. Why was that I wonder?

In comparison, for example PR agencies (and their clients) are fair game to get slammed publicly for their dodgy behaviour - pretty much daily in relation to blogging at the moment - and correctly so, as I have posted in the past. But what makes you put analyst groups, or any others above this sort of public scrutiny?

(and in all of the above I refer to the small minority of analyst groups who might stray down this path)
March 12, 2008 13:20

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